Australian families can expect more hip pocket pain with higher household power bills after it was revealed the Australian Energy Market Operator (AEMO) intervention in the National Electricity Market (NEM) would cost more than $200 million.
The dramatic and unprecedented decision to take control of the electricity market in June this year was made by Climate Change and Energy Minister Chris Bowen and AEMO in response to a series of challenges which threatened rolling blackouts across the country.
According to AEMO, the $200 million price tag is the cost for: “mopping up the consequences of the market suspension and claims for compensation.”
Shadow Minister for Climate Change and Energy Ted O’Brien said Australians are already paying enough for their energy and after 100 days in Government, Labor have done nothing to address supply pressures.
“In June this year we experienced the energy market chaos that occurs when there is not enough supply in the market,” Mr O’Brien said.
“I am deeply concerned that this tumultuous period will repeat itself because the Albanese Labor Government has done nothing to resolve the underlying issue of new 24/7 dispatchable supply.
“Even though expert after expert says more gas is the answer to firm renewables, keep prices down and keep the lights on, Labor can’t bring itself to accept the truth. Labor is anti-gas, it is as simple as that.”
The Australian Energy Regulator (AER) has labelled the past few months “the most tumultuous in the history of Australia’s energy markets” in the latest Wholesale Markets Quarterly report and expects higher power prices to continue in the coming years.
And today the Australian Bureau of Statistics (ABS) National Accounts identified household energy consumption was up.
“Labor went to the election promising to cut power bills by $275 – and repeated it 96 times – yet every indicator suggests prices will go up under their leadership, not down,” Mr O’Brien said.
“This demonstrates Labor’s removal from reality and a lack of understanding of the complex challenges facing Australia’s energy market.”
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Contact:Mitch Bland0401 257 064